1. Soybeans and Corn Decline in Overnight Trading

Soybeans and corn were lower in overnight trading as speculative investors unload their bullish bets and book profits after prices yesterday hit multimonth highs.

The price of soybeans yesterday hit a four-month high on hot weather in the eastern Corn Belt and some demand news.

Temperatures are expected to be around 100°F. in parts of Illinois, Indiana, and Ohio this week, the National Weather Service said in a report.

Exporters reported sales of 264,000 metric tons of soybeans and 202,000 tons of corn to China, along with sales of 182,880 tons of corn to Mexico, the U.S. Department of Agriculture said in a report yesterday.

Still, prices were lower in overnight trading as investors seemed content to take profits.

Soybean futures for December delivery dropped 4¾¢ to $9.01½ a bushel overnight on the Chicago Board of Trade. Soymeal fell 60¢ to $305.40 a short ton, and soy oil lost 0.32¢ to 28.91¢ a pound.

Corn futures for December delivery lost 4½¢ to $3.51¼ a bushel overnight.

Wheat rose ½¢ to $4.93¾ a bushel while Kansas City futures added ½¢ to $4.39 a bushel.

2. Inspections of Corn and Wheat For Overseas Delivery Decline

Inspections of corn and wheat for overseas delivery declined week-to-week while bean assessments improved, according to the USDA.

Corn inspections in the seven days that ended on July 2 were reported at 962,445 metric tons, down from the 1.24 million tons examined a week earlier, but up from the 721,419 tons inspected during the same week a year earlier, the agency said.

Wheat assessments fell to 326,448 metric tons last week, down from 515,359 tons the previous week. That’s also down from the 628,053 tons inspected during the same week in 2019.

Inspections of soybeans, meanwhile, came in at 521,638 metric tons, up from 333,662 tons a week earlier, the USDA said. That’s down, however, from the 761,845 tons assessed at the same point last year.

Since the start of the marketing year on Sept. 1, the government has inspected 34.2 million metric tons of corn for offshore delivery, down from 42.5 million tons during the same period a year earlier.

Soybean assessments since the beginning of September were reported at 37.3 million metric tons, down modestly from the 37.9 million tons the previous year.

Wheat inspections since the start of the grain’s marketing year on June 1 are now at 2.33 million metric tons, down from the 2.61 million tons examined during the same period last year, the USDA said in its report.

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3. Heat Wave Expected in Parts of Illinois and Indiana For Next Couple of Days

Special weather statements have been issued for most of Illinois, Indiana, and Ohio as a heat wave rolls into the eastern Midwest, according to the National Weather Service.

In Illinois, temperatures will be in the mid-90s this afternoon, but with humidity factored in, heat indexes are forecast to be around 100°F., the NWS said in a report early this morning.

The high temperatures will make another appearance tomorrow afternoon.

It’ll be much of the same in central Indiana where temperatures will be in the low- to mid-90s, but with dew points in the lower 70s, heat indexes will top out around 100°F., the agency said.

The heat is expected to linger in much of Indiana and Ohio through Thursday.

Farther west, a red-flag warning that indicates extremely dry conditions has been issued for much of northeastern Colorado, the NWS said. Parts of western Kansas and Nebraska also will be affected.

High temperatures, low humidity, and strong winds will create conditions prime for wildfires, the agency said.